The average per-gallon price of regular gas in Tennessee was $3.28 Sunday, a drop of 6 cents compared to the mark from the previous week, according to AAA.
Relatedly, the Nashville market's per-gallon gas price average on Sunday was $3.34, down 4 cents from the $3.38 mark from a week ago.
Similar to last year, retail gas prices dropped prior to the busiest summer driving weekend, the Independence Day holiday. On average, pump prices in the Southeast fell 6 cents from last week, AAA reported.
Multiple factors placed upward pressure on oil prices, but it was the jump in the value of the U.S. dollar and the increase in refinery output that kept crude prices at bay last week, AAA reported. The dollar rose to a three-week high against other currencies, and refinery output jumped to 90 percent, the highest level so far this year.
Nationally, the cost for a gallon of regular gasoline during the 2012 Fourth of July holiday weekend was $3.36, about 20 cents less than what it will likely be this Independence Day holiday weekend, AAA said.
"Although gas prices are higher than they were this time last year, the price trend is relatively the same with gas prices retreating before millions of Americans travel for Independence Day," Jessica Brady, AAA spokeswoman, The Auto Club Group, said in a release. "About 41 million people plan to take a trip this holiday and gas prices are not expected to deter them."
The cost for a barrel of oil closed last Friday at $96.56 on the New York Mercantile Exchange — $2.87 more than the figure from the week prior.
The national average price of regular unleaded gasoline is $3.49, 8 cents less than the mark of last week. For comparison with Tennessee’s average of $3.28, Georgia’s average price for a gallon of regular gas as $3.37 yesterday, 7 cents less than the mark of last Sunday.